Viavi Solutions Inc (VIAV) 2023 Q2 法說會逐字稿

Hello, and thank you for standing by. My name is Regina, and I will be your conference operator today. At this time, I would like to welcome everyone to the Viavi Solutions Fiscal Second Quarter 2023 Earnings Conference Call. (Operator Instructions) I would now like to turn the conference over to Sagar Hebbar, Head of Investor Relations. Please go ahead.

你好，謝謝你的支持。我叫 Regina，今天我將擔任你們的會議接線員。此時，我想歡迎大家參加 Viavi Solutions 2023 財年第二季度收益電話會議。 （操作員說明）我現在想將會議轉交給投資者關係主管 Sagar Hebbar。請繼續。

Thank you, Regina. Welcome to Viavi Solutions second quarter fiscal year 2023 earnings call. My name is Sagar Hebbar, Head of Investor Relations with Viavi Solutions. Joining me on today's call are Oleg Khaykin, President and CEO; and Henk Derksen, CFO.

謝謝你，里賈納。歡迎來到 Viavi Solutions 2023 財年第二季度財報電話會議。我叫 Sagar Hebbar，是 Viavi Solutions 的投資者關係主管。與我一起參加今天電話會議的還有總裁兼首席執行官 Oleg Khaykin；和首席財務官 Henk Derksen。

Please note, this call will include forward-looking statements about the company's financial performance. These statements are subject to risks and uncertainties that could cause actual results to differ materially from our current expectations and estimations. We encourage you to review our most recent annual report and SEC filings, particularly the risk factors described in those filings. The forward-looking statements, including guidance we provide during this call are valid only as of today.

請注意，此次電話會議將包括有關公司財務業績的前瞻性陳述。這些陳述受風險和不確定因素的影響，這些風險和不確定因素可能導致實際結果與我們當前的預期和估計存在重大差異。我們鼓勵您查看我們最近的年度報告和 SEC 文件，特別是這些文件中描述的風險因素。前瞻性陳述，包括我們在本次電話會議期間提供的指導，僅在今天有效。

Viavi undertakes no obligation to update these statements. Please also note that unless we state otherwise, all results except revenue are non-GAAP. We reconcile these non-GAAP results to our preliminary GAAP financials and discuss their usefulness and limitations in today's earnings release. The release plus our supplemental earnings slides, which include historical financial tables, are available on Viavi's website at www.investor.viavisolutions.com.

Viavi 不承擔更新這些聲明的義務。另請注意，除非我們另有說明，否則除收入外的所有結果均為非 GAAP。我們將這些非 GAAP 結果與我們初步的 GAAP 財務數據進行了核對，並在今天的收益發布中討論了它們的用處和局限性。該新聞稿以及我們的補充收益幻燈片（包括歷史財務表）可在 Viavi 的網站 www.investor.viavisolutions.com 上獲取。

Finally, we are recording today's call and will make the recording available by 4:30 p.m. Pacific Time this evening on our website.

最後，我們正在錄製今天的通話，並將在美國東部時間下午 4:30 之前提供錄音。太平洋時間今晚在我們的網站上。

I would now like to turn the call over to Henk.

我現在想把電話轉給 Henk。

Thank you, Sagar. Fiscal Q2 2023 slightly exceeded our lowered expectations, mainly as a result of anticipated headwinds in service provider spending. Fiscal Q2 revenue came in at $284.5 million, down 9.6% year-over-year and above our guidance range of $261 million to $281 million.

謝謝你，薩加爾。 2023 財年第二季度略高於我們降低的預期，這主要是由於服務提供商支出方面的預期逆風。第二財季收入為 2.845 億美元，同比下降 9.6%，高於我們 2.61 億美元至 2.81 億美元的指導範圍。

Viavi's operating profit margin of 16.2% decreased 560 basis points from last quarter and 710 basis points from prior year, although above our guidance range of 13.9% to 14.9%, EPS at $0.14 per share was down 41.7% from the prior year and 39.1% from the prior quarter results and exceeded the guidance range of $0.10 to $0.12 per share. The current share count was 227.1 million during the quarter, down from 242.3 million shares in the prior year as we continue to improve the quality of the balance sheet. Cash flow from operations was $46.2 million versus $22.2 million in the prior year. And year-to-date, cash flow from operations continues to be strong at $72.8 million, compared to $75.6 million last year during the first half.

Viavi 的營業利潤率為 16.2%，較上一季度下降 560 個基點，較去年同期下降 710 個基點，儘管高於我們 13.9% 至 14.9% 的指導範圍，每股收益為 0.14 美元，較去年同期下降 41.7% 和 39.1%與上一季度的業績相比，超出了每股 0.10 美元至 0.12 美元的指導範圍。本季度當前的股票數量為 2.271 億股，低於去年同期的 2.423 億股，因為我們繼續改善資產負債表的質量。運營現金流為 4620 萬美元，上年同期為 2220 萬美元。今年迄今為止，運營現金流繼續保持強勁，達到 7280 萬美元，而去年上半年為 7560 萬美元。

Now moving to our reported Q2 results by business segment, starting with NSE. NSE quarterly revenue was impacted by lower service provider spent at $207.1 million and declined 15.2% year-over-year, slightly ahead of our guidance range of $187 million to $203 million.

現在轉到我們按業務部門報告的第二季度結果，從 NSE 開始。 NSE 季度收入受到較低服務提供商支出的影響，支出為 2.071 億美元，同比下降 15.2%，略高於我們 1.87 億美元至 2.03 億美元的指導範圍。

Although on lower levels compared to prior year and as the quarter progressed, demand patterns stabilized within NSE. NE revenue of $179.7 million declined 16.2% year-over-year, driven by the weakness in service provider spending. SE revenue at $27.4 million decreased 8.1% from last year.

儘管與去年同期相比水平較低，並且隨著本季度的進展，NSE 的需求模式趨於穩定。受服務提供商支出疲軟的推動，NE 收入為 1.797 億美元，同比下降 16.2%。 SE 收入為 2740 萬美元，比去年下降 8.1%。

NSE gross profit margin at 64.4%, decreased 90 basis points year-over-year. Within NSE, NE gross profit margin at 64.1% decreased 30 basis points from the prior year, primarily due to decline in volume. SE gross profit margin at 66.8% decreased 500 basis points from last year, primarily due to product mix. NSE gross profit margin -- operating profit margin at 8.9% exceeded our guidance range of 5.5% to 6.5%, albeit down 980 basis points year-over-year.

NSE 毛利率為 64.4%，同比下降 90 個基點。在 NSE 中，NE 毛利率為 64.1%，比上年下降 30 個基點，這主要是由於銷量下降。 SE 毛利率為 66.8%，較去年下降 500 個基點，主要是由於產品組合。 NSE 毛利率——8.9% 的營業利潤率超出了我們 5.5% 至 6.5% 的指導範圍，儘管同比下降了 980 個基點。

Now turning to OSP. Second quarter revenue at $77.4 million was up 9.6% year-over-year. Revenue was near the high end of our guidance range of $74 million to $78 million. Gross profit margin at 52.3% decreased 390 basis points from the prior year mainly a result of start-up costs in our new Arizona facility. Operating profit margin at 35.5% was within our guidance range of 35% to 37% down 70 basis points from a year ago.

現在轉向 OSP。第二季度收入為 7740 萬美元，同比增長 9.6%。收入接近我們 7400 萬至 7800 萬美元指導範圍的高端。毛利率為 52.3%，較上年下降 390 個基點，這主要是由於亞利桑那州新工廠的啟動成本。營業利潤率為 35.5%，在我們 35% 至 37% 的指導範圍內，比一年前下降了 70 個基點。

On February 1, 2023, the company approved a restructuring and workforce reduction plan to improve operational efficiencies and better align the company's workforce with the current business needs and strategic growth opportunities. The company expects approximately 5% of its global workforce to be affected and estimates it will incur charges of approximately $15 million in connection with this plan. The company anticipates the plan to be substantially complete by the end of fiscal 2023.

2023 年 2 月 1 日，公司批准了一項重組和裁員計劃，以提高運營效率，並使公司的員工隊伍更好地適應當前的業務需求和戰略增長機會。該公司預計其全球約 5% 的員工將受到影響，並估計將因該計劃產生約 1500 萬美元的費用。公司預計該計劃將在 2023 財年末基本完成。

Now turning to the balance sheet. The ending balance of our total cash and short-term investments was $489.7 million, down $27.4 million sequentially as a result of capital deployment towards both acquisitions and stock repurchases.

現在轉向資產負債表。由於用於收購和股票回購的資本配置，我們的現金和短期投資總額的期末餘額為 4.897 億美元，環比減少 2740 萬美元。

As mentioned earlier, operating cash flow for the quarter was $46.2 million, an increase of €24 million year-over-year. The increase was a result of solid collections. In addition, we invested $18.1 million in capital expenditures during the quarter compared to $14.8 million in the prior quarter, primarily due to complete the build-out of our new Arizona production facility.

如前所述，本季度的運營現金流為 4620 萬美元，同比增加 2400 萬歐元。增加是固體收集的結果。此外，我們在本季度投資了 1,810 萬美元的資本支出，而上一季度為 1,480 萬美元，這主要是由於完成了亞利桑那州新生產設施的擴建。

During fiscal Q2, we repurchased 2.2 million shares of our common stock for $25.2 million under the share repurchase program announced in September, leaving the remaining balance of 274.8 million worth of shares authorized for repurchase. As you may recall, in September, we announced that the Board authorized a new common stock repurchase program for up to $300 million. In addition, we successfully closed the acquisition of Jackson Labs in fiscal Q2 2023.

在第二財季，我們根據 9 月份宣布的股票回購計劃，以 2520 萬美元的價格回購了 220 萬股普通股，剩餘的 2.748 億股股票被授權用於回購。您可能還記得，在 9 月份，我們宣布董事會批准一項新的普通股回購計劃，金額高達 3 億美元。此外，我們在 2023 財年第二季度成功完成了對 Jackson Labs 的收購。

The total purchase consideration comprised of approximately $49.9 million in cash, and contingent consideration of up to $117 million in cash based on the achievement of certain operational and revenue targets to be achieved over a 3-year period. This transaction provides Viavi, a leadership position and a resilient PNT, supporting government and service providers in protecting their key infrastructure and assets. The transaction allows us to leverage our existing go-to-market model and utilizes US federal NOLs.

總收購對價包括約 4990 萬美元的現金，以及基於在 3 年期間實現某些運營和收入目標而可能產生的高達 1.17 億美元的現金對價。該交易為 Viavi 提供了領導地位和彈性 PNT，支持政府和服務提供商保護其關鍵基礎設施和資產。該交易使我們能夠利用我們現有的上市模式並利用美國聯邦 NOL。

Now on to our guidance. We expect the fiscal third quarter 2022 revenue to be approximately $266 million, plus or minus $10 million. Operating profit margin is expected to be 13.6%, plus or minus 60 basis points, and EPS to be in the range of $0.10 to $0.12 per share. We expect NSE revenue to be approximately $197 million, plus or minus $8 million, with operating profit margin at 7.7% plus or minus 50 basis points.

現在開始我們的指導。我們預計 2022 財年第三季度的收入約為 2.66 億美元，上下浮動 1000 萬美元。營業利潤率預計為 13.6%，上下浮動 60 個基點，每股收益在 0.10 美元至 0.12 美元之間。我們預計 NSE 收入約為 1.97 億美元，上下浮動 800 萬美元，營業利潤率為 7.7%，上下浮動 50 個基點。

OSP is expected to be approximately $69 million, plus or minus €2 million, with operating profit margins of 13.5% versus minus 100 basis points. Our tax rate is expected to be between 23% and 25% as a result of jurisdictional mix. We expect other income, expenses to reflect a net expense of approximately $4.5 million. Share count is expected to be around 226 million shares based on current stock price levels.

OSP 預計約為 6900 萬美元，上下浮動 200 萬歐元，營業利潤率為 13.5%，而營業利潤率為負 100 個基點。由於司法管轄區的組合，我們的稅率預計在 23% 至 25% 之間。我們預計其他收入和支出將反映約 450 萬美元的淨支出。根據當前股價水平，預計股票數量約為 2.26 億股。

With that, I will turn the call over to Oleg.

有了這個，我會把電話轉給奧列格。

Thank you, Henk. Fiscal second quarter of 2023 came in above our guidance range. driven by better-than-expected NSE performance helped by stabilization in service providers' demand and spend. Our OSP business grew year-over-year and came in within the guidance range.

謝謝你，亨克。 2023 財年第二季度超出了我們的指導範圍。在服務提供商需求和支出穩定的幫助下，NSE 表現好於預期。我們的 OSP 業務同比增長並在指導範圍內。

Starting with NSE. NSE declined on a year-over-year and sequential basis. During the December quarter, we continued to see a continuation of general pullback in service providers' OpEx and CapEx spend that started during the last 2 weeks of September. In addition, we also did not see any meaningful year-end budget flush.

從 NSE 開始。 NSE 同比和連續下降。在 12 月季度，我們繼續看到服務提供商的 OpEx 和 CapEx 支出在 9 月最後兩週開始普遍回落。此外，我們也沒有看到任何有意義的年終預算沖洗。

Decline in NE, was primarily driven by weaker demand in our fiber and wireless lab products by Tier 1 service providers and wireless labs, responding to reduced business outlook. This was partially offset by stronger demand for our wireless field instruments, driven by the 5G C-band infrastructure deployment. In addition, we saw strong traction for the recently acquired Jackson Labs resilient PNT product, I'm pleased with the market momentum for resilient PNT technology as it increasingly becomes a must-have by the government and service providers as they adapt to resilient PNT technology to protect their strategic infrastructure and assets.

NE 的下降主要是由於一級服務提供商和無線實驗室對我們的光纖和無線實驗室產品的需求減弱，以應對業務前景的下降。這部分被 5G C 波段基礎設施部署推動的對我們的無線現場儀器的強勁需求所抵消。此外，我們看到了最近收購的 Jackson Labs 彈性 PNT 產品的強大吸引力，我對彈性 PNT 技術的市場勢頭感到滿意，因為它越來越成為政府和服務提供商在適應彈性 PNT 技術時的必備品保護他們的戰略基礎設施和資產。

Looking at the current quarter, we expect the demand softness to persist as many of our customers are continuing to pare back their CapEx and OpEx in face of weakening end market conditions. That said, we are encouraged with the service provider spend stabilization and are starting to see early signs of near-term recovery.

縱觀本季度，我們預計需求疲軟將持續存在，因為面對疲軟的終端市場條件，我們的許多客戶將繼續削減資本支出和運營支出。也就是說，我們對服務提供商支出的穩定感到鼓舞，並開始看到近期復甦的早期跡象。

We expect field instruments demand to start picking up by mid-calendar 2023, our service providers retrench and rebalance their CapEx and OpEx plans and resume their fiber network build-outs and 5G C-band expansion. This is expected to drive the recovery in demand for our fiber and field (inaudible) products.

我們預計現場儀器需求將在 2023 年中期開始回升，我們的服務提供商將縮減和重新平衡他們的資本支出和運營支出計劃，並恢復他們的光纖網絡建設和 5G C 波段擴展。預計這將推動對我們的光纖和現場（聽不清）產品的需求復蘇。

In addition, we also expect several major cable operators to start upgrading their networks during 2023, and which is expected to drive the demand for our cable field instruments. Our SE business segment grew 14.2% sequentially, in line with our expectations. We expect SE revenue to remain steady at the current levels for the remainder of fiscal 2023.

此外，我們還預計幾家主要的有線電視運營商將在 2023 年開始升級他們的網絡，這有望推動對我們的有線電視現場儀器的需求。我們的 SE 業務部門環比增長 14.2%，符合我們的預期。我們預計 SE 收入將在 2023 財年剩餘時間內保持穩定在當前水平。

Now turning to OSP. OSP increased 9.6% year-over-year, driven by growth in both anti-counterfeiting as well as 3D sensing products and performed in line with our expectations. Looking ahead, we expect second half of fiscal 2023 to be weaker with quarterly core OSP revenue moderating to about $55 million per quarter, driven by weaker anti-counterfeiting product demand as some of our major end customers pulled back on fiscal stimulus.

現在轉向 OSP。在防偽和 3D 傳感產品增長的推動下，OSP 同比增長 9.6%，表現符合我們的預期。展望未來，我們預計 2023 財年下半年將走弱，季度核心 OSP 收入將放緩至每季度約 5500 萬美元，這是由於我們的一些主要終端客戶撤回財政刺激措施導致防偽產品需求減弱。

We also expect weaker year-on-year demand for 3D sensing products in the second half of fiscal 2023, driven by lower end customer demand. In view of weaker near-term demand environment, we're implementing a limited restructuring plan for our NSE and OSP businesses intended to align our operating expenses with the expected lower near-term customer demand and to redeploy investment to strategic growth areas in order to position Viavi for accelerated revenue and profitability growth as end markets recover.

我們還預計，在較低端客戶需求的推動下，2023 財年下半年 3D 傳感產品的同比需求將減弱。鑑於短期需求環境疲軟，我們正在為我們的 NSE 和 OSP 業務實施有限的重組計劃，旨在使我們的運營費用與預期的較低的近期客戶需求保持一致，並將投資重新部署到戰略增長領域，以便隨著終端市場的複蘇，Viavi 的收入和盈利能力將加速增長。

In conclusion, I'd like to thank my Viavi team for managing in this challenging environment and express my appreciation to our employees, customers, supply chain partners and shareholders for their support.

最後，我要感謝我的 Viavi 團隊在這個充滿挑戰的環境中進行管理，並對我們的員工、客戶、供應鏈合作夥伴和股東的支持表示感謝。

I will now turn the call over to Sagar.

我現在將把電話轉給 Sagar。

Thank you, Oleg. This quarter, we will be participating at Morgan Stanley's TMT conference in San Francisco on March 6. We will also be attending the MWC in Barcelona and OFC in San Diego.

謝謝你，奧列格。本季度，我們將參加 3 月 6 日在舊金山舉行的摩根士丹利 TMT 會議。我們還將參加巴塞羅那的 MWC 和聖地亞哥的 OFC。

Regina, let us begin the Q&A session. We ask everyone to limit the discussion to one question and one follow-up.

Regina，讓我們開始問答環節。我們要求每個人將討論限制在一個問題和一個後續問題上。

(Operator Instructions) Our first question comes from the line of Mehdi Hosseini with Susquehanna.

（操作員說明）我們的第一個問題來自 Mehdi Hosseini 和 Susquehanna 的台詞。

Yes. Just in terms of what you just described for NSE and OSP in the near term, should I expect kind of a flat to down quarterly trend into the last quarter of the fiscal year and then a more meaningful pickup into next fiscal year?

是的。就您剛才對 NSE 和 OSP 的近期描述而言，我是否應該期望本財年最後一個季度出現持平或下降的季度趨勢，然後在下一財年出現更有意義的回升？

So I would say, seasonally, March quarter is one of our weaker quarters. And I think even though in the last 2 years, because of the constrained supply, seasonality was not as pronounced. I think this time around, we are seeing seasonality returning. So, I would actually expect I think, typically, our fourth quarter, we start seeing pickup. So I would expect the fourth quarter to be stronger than the third quarter. And I'd say, as it goes to September, it's a little bit too far out outside of our outlook, but I would expect it also to be coming in stronger, especially for OSP.

所以我想說，從季節性來看，三月季度是我們較弱的季度之一。而且我認為即使在過去 2 年中，由於供應受限，季節性也沒有那麼明顯。我認為這一次，我們看到季節性回歸。所以，我實際上希望我認為，通常情況下，我們的第四季度，我們會開始看到回暖。所以我預計第四季度會強於第三季度。我要說的是，隨著 9 月的到來，它有點超出我們的預期，但我預計它也會變得更強勁，尤其是對 OSP 而言。

Okay. And then specific to OSP, as we look into the next couple of quarters, how do you see the mix evolving - the NSE benefits from a pickup, lower base, especially as the service providers have become more cautious that could actually play to your favorite as the compares are easier, but I'm not so sure if the compares are relevant. As I think about OSP into next fiscal year? Any color would be appreciated.

好的。然後具體到 OSP，當我們展望接下來的幾個季度時，您如何看待組合的演變——NSE 從回升、較低的基數中受益，尤其是當服務提供商變得更加謹慎時，他們實際上可能會發揮您最喜歡的作用因為比較更容易，但我不太確定比較是否相關。當我考慮下一個財政年度的 OSP 時？任何顏色將不勝感激。

Well, let me just start and see if I'm addressing your question. So when we think about OSP, you got to think of it 2 ways, right? There's fundamentally 2 major segments. And there is Anti-Counterfeiting and then there's a 3D sensing. When the demand for smartphones is very strong, so effectively, if both Anti-Counterfeiting and 3D sensing are running strong, right, strong demand. You're in a $90 million quarterly run rate. When both of them are running weak as what we see like this quarter, right? 3D sensing demand is lower and the Anti-Counterfeiting you're closer to about $70 million, quarterly run rate.

好吧，讓我開始吧，看看我是否在解決你的問題。因此，當我們考慮 OSP 時，您必須從兩個方面考慮，對嗎？基本上有兩個主要部分。還有防偽，然後是3D傳感。當對智能手機的需求非常強勁時，如果防偽和 3D 傳感都運行強勁，對，強勁的需求。你的季度運行率是 9000 萬美元。當他們兩個都像我們本季度看到的那樣疲軟時，對嗎？ 3D 傳感需求較低，而防偽您的季度運行率接近 7000 萬美元左右。

When either one of them is strong and the other one is weak, you're in about $80 million range. So we think in the -- over the next 2 quarters, there's headwinds for both 3D sensing, there's a lower outlook demand for the smartphones. And we're also seeing a number of major economies are pulling back on fiscal stimulus. So it may take them a little bit longer to work through the inventories of product they already have. So we think that's also going to be on the lower end.

當其中一個很強而另一個很弱時，你的投資範圍約為 8000 萬美元。因此，我們認為在接下來的兩個季度中，3D 傳感都存在逆風，智能手機的前景需求較低。我們還看到一些主要經濟體正在縮減財政刺激措施。因此，他們可能需要更長的時間來處理現有產品的庫存。所以我們認為這也將處於低端。

So we are clearly, March quarter, we see more clear demand. So we are saying to be in a neighborhood of like high $60, like $70 million. I think Q4, if Anti-Counterfeiting comes back a little stronger or smartphone comes in stronger, it may be better. But we are for the abundance of caution saying first half to be in the $70 million range per quarter for OSP. So I'm not sure if I answered your question.

所以我們很清楚，三月季度，我們看到更明確的需求。所以我們說要在 60 美元左右的社區，比如 7000 萬美元。我覺得Q4，如果防偽回歸強一點或者智能手機強一點，可能會更好。但我們非常謹慎地說上半年 OSP 每季度在 7000 萬美元的範圍內。所以我不確定我是否回答了你的問題。

Your next question comes from the line of Alex Henderson with Needham.

你的下一個問題來自 Alex Henderson 與 Needham 的對話。

So a couple of clarification just to be clear, the IP is going to be completed by the June quarter. You've talked about the size of the cost, but I didn't see any indication of what you think the benefits to results might be? What's the -- and what's your intended use of that benefit will be, whether it will be investing in something else or whether it will actually show through to the bottom line. So could you give us some sense of what the cost reduction, scale and benefits might be and what you're going to do with it?

所以需要澄清一下，IP 將在 6 月季度完成。你談到了成本的大小，但我沒有看到任何跡象表明你認為對結果的好處可能是什麼？這是什麼——您對該收益的預期用途是什麼，它是否會投資於其他東西，或者它是否會真正體現在底線。那麼，您能否讓我們了解一下成本降低、規模和收益可能是什麼，以及您將如何處理它？

Sure. So 5% of our workforce will be impacted. The majority will be focused in the NSE business, a little bit in the OSP business, and we'll be targeting operating expenditures, most notably. So about 5 million of OpEx, 5% of the workforce. So call that a 25 million annualized benefit of which we'll see the impact in the September quarter on a full basis.

當然。因此，我們 5% 的員工將受到影響。大部分將集中在 NSE 業務上，一點點在 OSP 業務上，我們將瞄準運營支出，最值得注意的是。所以大約 500 萬的運營支出，佔勞動力的 5%。所以稱之為 2500 萬美元的年化收益，我們將在 9 月份的季度全面看到其影響。

Okay. And then going back to the OSP business for a second. So in the December quarter, we're talking about $24 million, $25 million worth of 3D sensing. And I assume when you're talking about the March quarter that the $55 million number was just the counterfeiting and could you give us some sense of what you think we're looking at that?

好的。然後再回到 OSP 業務。因此，在 12 月季度，我們談論的是價值 2400 萬美元、2500 萬美元的 3D 傳感。我假設當你談論 3 月季度時，5500 萬美元的數字只是偽造的，你能告訴我們你認為我們正在看什麼嗎？

That's correct.

這是正確的。

In terms of -- it sounds like it's coming down into the $15 million to $18 million range in both the June and March quarters. Is that correct?

就 - 聽起來它在 6 月和 3 月的兩個季度都在 1500 萬美元到 1800 萬美元的範圍內。那是對的嗎？

That's exactly right. It's about 55 million for core or anti-counterfeit and then another 14 million to 15 million or so for 3D sensing products.

這是完全正確的。核心或防偽大約5500萬，然後是3D傳感產品1400萬到1500萬左右。

If I could just steal one more Jackson Labs, can you give us some sense of what it contributed in the December quarter, what it might contribute in the forward quarters?

如果我能再偷一個 Jackson Labs，你能告訴我們它在 12 月季度的貢獻，它可能在前幾個季度做出的貢獻嗎？

A couple of billion dollars in revenues and maybe rounded to 0.5 billion in EPS.

幾億美元的收入，可能四捨五入到 5 億美元的每股收益。

Your next question comes from the line of Michael Genovese with Rosenblatt Securities.

你的下一個問題來自 Michael Genovese 和 Rosenblatt Securities 的專線。

I guess Oleg, I'm trying to get the thread on carrier CapEx and OpEx a little bit more clearly because clearly, it was even better than you guided to in the quarter, but -- you talked about the macro, but yet it seems like calendar 2023 spend seems like it's going to be okay, and you're also saying that later in the year. AT&T guidance was good. I think wireless was good on the wireline side and maybe not as good on the C-band side. So could you just put all of this together and sort of help -- what exactly are we saying about CapEx and OpEx and the NSE business operating at a higher level because of those things.

我想 Oleg，我正在嘗試更清楚地了解運營商資本支出和運營支出的線索，因為很明顯，它甚至比你在本季度的指導要好，但是 - 你談到了宏觀，但似乎就像日曆 2023 年的支出似乎會好起來的，你也在今年晚些時候這麼說。 AT&T 的指導很好。我認為無線在有線方面很好，但在 C 波段方面可能沒那麼好。那麼你能不能把所有這些放在一起並提供一些幫助——我們究竟在說什麼關於資本支出和運營支出以及由於這些事情而在更高水平上運營的 NSE 業務。

Sure, sure. So I think it's almost like when we had our earnings call in early November, we said, okay, it feels like it's a replay of the March quarter of 2020 when the COVID hit. First, there's a panic. And I think a lot of them kind of panicked in September and climbed down. And then usually, they step back and see, well, let's think what we're going to do well -- they reassessed and said, well, we got to take down some CapEx. And by the way, we really could care less about CapEx because we don't get impacted by that. But that's usually where our big money comes out.

一定一定。所以我認為這幾乎就像我們在 11 月初召開財報電話會議時一樣，我們說，好吧，感覺就像 2020 年 3 月季度 COVID 來襲時的重播。首先是恐慌。而且我認為他們中的很多人在 9 月有點恐慌並爬了下來。然後通常，他們退後一步，看看，好吧，讓我們想想我們要做什麼——他們重新評估並說，好吧，我們必須減少一些資本支出。順便說一下，我們真的可以不太關心資本支出，因為我們不會受到影響。但這通常是我們賺大錢的地方。

And then they say, well, we still have the business to run. So we got to start doing something more on OpEx. We've kind of pulled back too much. So usually, that quarter -- second quarter is when there a lot of realignment happens. And then the following quarter, which is where we are right now, there is now a reassessment and planning, okay, so what are we going to do? So the CapEx reductions get communicated to NAMs, and we've seen a number of major NAMs stating that lo and behold, yes, they're going to get less revenue this year, even though most of them were in denial or ignoring it in October.

然後他們說，好吧，我們還有業務要經營。所以我們必須開始在 OpEx 上做更多的事情。我們有點退縮了。所以通常，那個季度 - 第二季度會發生很多調整。然後是下一個季度，也就是我們現在所處的位置，現在有一個重新評估和計劃，好吧，那麼我們要做什麼？因此，資本支出的減少會傳達給 NAM，我們已經看到許多主要的 NAM 表示，瞧瞧，是的，他們今年的收入將減少，儘管他們中的大多數人否認或忽略了這一點十月。

And so now the -- so that's kind of the CapEx plan. But then the OpEx plans come in because a lot of the equipment is already coming in and it came in and needs to be installed, deployed turned on. Well, you need the tools for that, and that really comes back to us. So we are seeing -- you mentioned AT&T Verizon. I mean, there is not, okay, the world didn't come to an end. Guess what? We still need to build our networks. We need to turn on the services. And let's start thinking about the deliveries and orders. This is why I'm saying we're feeling good that we are starting to see stabilization in the right signals coming out with the demand for field equipment.

所以現在 - 這就是資本支出計劃。但隨後 OpEx 計劃出現了，因為很多設備已經進來了，它們進來了，需要安裝、部署。嗯，你需要工具，這真的回到了我們身邊。所以我們看到——你提到了 AT&T Verizon。我的意思是，沒有，好吧，世界並沒有走到盡頭。你猜怎麼了？我們仍然需要建立我們的網絡。我們需要打開服務。讓我們開始考慮交貨和訂單。這就是為什麼我說我們感覺很好，因為我們開始看到隨著對現場設備的需求而發出的正確信號趨於穩定。

And it gets even better. I mean, you've seen the AT&T announcement with BlackRock. Well, now they just have a whole part of extra money to go and extend the fiber to the states where they were not even playing. And that brings a whole different element of competitiveness, whereas the cable players now need to respond sooner rather than later and equalize relative performance of cable network versus fiber.

而且它變得更好。我的意思是，您已經看到 AT&T 與 BlackRock 的公告。好吧，現在他們只有一部分額外的錢可以用來將光纖擴展到他們甚至沒有參加比賽的州。這帶來了完全不同的競爭力要素，而有線電視運營商現在需要儘早做出響應，並平衡有線電視網絡與光纖網絡的相對性能。

So, I feel very good that we're going to see a recovery and growth in fiber and cable spend. this year. And by the way, last year, cable was de minimis, it was kind of a cozier. So, I think over the next 2 years, we're going to see a -- I would say, a mid-cycle upgrade of network before the DOCSIS 4.0. And what they're going to try to do is reallocate spectrum in the cable to have more symmetric bandwidth up and down, right?

因此，我很高興我們將看到光纖和電纜支出的複蘇和增長。今年。順便說一句，去年，電纜是微量的，它有點舒適。所以，我認為在接下來的兩年裡，我們將看到——我會說，在 DOCSIS 4.0 之前的網絡中期升級。他們將要嘗試做的是重新分配電纜中的頻譜，使上下帶寬更加對稱，對吧？

And of course, in about 2 years, we expect the DOCSIS 4.0, which would get you up to maybe up to 10 gigabits in speeds on the cable network. So, that's why I feel in fiber and cable, we're going to have some upsides starting in the middle of this year and going on beyond that. And of course, the 5G C-band deployment is ongoing. And now that equipment is there, we feel the demand for field instruments will be kind of our time to shine.

當然，在大約 2 年內，我們期待 DOCSIS 4.0，這將使您在有線網絡上的速度可能達到 10 吉比特。所以，這就是為什麼我對光纖和電纜的看法，我們將從今年年中開始並繼續下去。當然，5G C 波段部署正在進行中。現在有了設備，我們覺得對現場儀器的需求將是我們大放異彩的時候。

Well, I appreciate all that color. And I had a couple of follow-ups in there, and then you would get to the questions.

嗯，我很欣賞那種顏色。我在那裡進行了幾次跟進，然後你就會提出問題。

We'll get back to you. All right. Sure.

我們將盡快給您回复。好的。當然。

Your next question comes from the line of Meta Marshall with Morgan Stanley.

你的下一個問題來自 Meta Marshall 與摩根士丹利的合作。

This is Karan Juvekar on from Morgan Stanley for Meta Marshall. I guess just have you seen any changes to behavior from European customers? And there's been times since there seems to be some caution around overbuilding or maybe some rationalization over there. Any sort of geographic trends that you want to call out?

我是來自摩根士丹利的 Meta Marshall 的 Karan Juvekar。我想您是否看到歐洲客戶的行為有任何變化？有一段時間以來，人們似乎對過度建設持謹慎態度，或者可能在那裡進行了一些合理化。您想指出任何類型的地理趨勢嗎？

So, I'll start and I'll turn it over to Henk. I think the -- in the last quarter, there's been a lot of volatility regarding the exchange rate. So, the European -- I mean, there's been some slowdown in deployment, but the problem is more driven they still spend the same budget, but they were getting fewer -- less equipment, right?

所以，我會開始，我會把它交給亨克。我認為 - 在上個季度，匯率波動很大。所以，歐洲——我的意思是，部署有所放緩，但問題更多的是他們仍然花費相同的預算，但他們越來越少——更少的設備，對吧？

So, actually, all things considered, we see actually EMEA doing pretty well. And there's a lot of structural problems. I mean, there's a lot of volatility of foreign exchange. But now we're kind of back to where we were in September in terms of euro and pound. And actually, Europe is holding up relatively well, I would say, for us, all things considered.

因此，實際上，考慮到所有因素，我們實際上看到 EMEA 做得很好。還有很多結構性問題。我的意思是，外匯波動很大。但現在就歐元和英鎊而言，我們有點回到了 9 月份的水平。事實上，歐洲表現相對較好，我想說，對我們來說，考慮到所有因素。

Okay. That makes sense. And I guess just a quick follow-up just on the strategic activity in the space. I mean just given sort of the National Instruments announcement, I guess, and maybe more industrial players wanted to get into maybe T&M or the broader industry. I guess, does that change how you think about M&A opportunities, or any update to sort of your thoughts around M&A opportunities?

好的。這就說得通了。我想只是對該領域的戰略活動進行快速跟進。我的意思是，我猜只是給出了 National Instruments 的公告，也許更多的工業參與者希望進入 T&M 或更廣泛的行業。我想，這是否會改變您對併購機會的看法，或者是否會改變您對併購機會的看法？

Well, I mean, it's -- I mean, even though, I mean, generally National Instruments is in general category, their business model is very different. They're very much focused on lab and some of the industrial deployments.

好吧，我的意思是——我的意思是，儘管 National Instruments 通常屬於一般類別，但他們的商業模式非常不同。他們非常專注於實驗室和一些工業部署。

And I'm not surprised that, for the longest time, test and measurement has been kind of the ride the danger field for those who are old enough to remember. And he wasn't getting respect. So I think these guys are realizing that it's a very attractive business model.

而且我並不感到驚訝，在最長的時間裡，測試和測量對於那些年紀大到足以記住的人來說一直是危險的領域。而且他沒有得到尊重。所以我認為這些人正在意識到這是一個非常有吸引力的商業模式。

And -- but also SE is always greener on the other side. And when I see electrical industrial, electrical power industrial companies picking their nodes in our business, they really don't know what they are in for, because it's a very different business model.

而且——而且 SE 在另一邊總是更環保。當我看到電氣工業、電力工業公司在我們的業務中選擇他們的節點時，他們真的不知道他們在做什麼，因為這是一個非常不同的商業模式。

It's not a -- you have to keep spending money and a lot of them are used to relatively low margins and they get enamored by high margins, but they forget that it continues to -- they need to continue to reinvest non-stop in this business.

這不是——你必須繼續花錢，他們中的很多人已經習慣了相對較低的利潤率，他們被高利潤率迷住了，但他們忘記了這種情況還在繼續——他們需要繼續不間斷地再投資於此商業。

So I think I mean they are doing what they are doing. I mean we are running our business to -- with the eye on the longer-term growth. And I think our test and measurement is a bit different from a lot of what they call industrial or lab-based business. But it's nice to see that our sector is getting the respect that for the longest time, it was not getting.

所以我想我的意思是他們正在做他們正在做的事情。我的意思是我們正在經營我們的業務 - 著眼於長期增長。而且我認為我們的測試和測量與許多他們所謂的工業或基於實驗室的業務有點不同。但很高興看到我們的行業獲得了很長時間以來沒有得到的尊重。

(Operator Instructions) Our next question will come from the line of Ruben Roy with Stifel.

（操作員說明）我們的下一個問題將來自 Stifel 的 Ruben Roy。

I had a quick follow-up on the discussion around Mike Genovese's question and the sort of service provider linearity that you're looking at, when you went into the downtick late September quarter, you had characterized that as being sort of broad-based.

我快速跟進了圍繞 Mike Genovese 的問題以及您正在查看的服務提供商線性度的討論，當您進入 9 月下旬的低迷季度時，您將其描述為具有廣泛的基礎。

And I guess, the question is the stabilization you're seeing, which I guess is a little bit of a surprise in the December quarter, given that you thought that this would be a 2 to 3 quarter phenomena. Was that broad-based, or was that sort of specific to 1 or a few customers?

我想，問題是你看到的穩定，我想這在 12 月季度有點令人驚訝，因為你認為這將是 2 到 3 個季度的現象。那是廣泛的，還是特定於一個或幾個客戶？

Well, so I mean, if you think our first quarter impact was September quarter, because we just shut down. And during the December quarter, there was a lot of rebalancing our customers looking at headcount cuts, the CapEx costs like the OpEx redistribution. And I would say we are now entering the third quarter of that. So it's very much in kind of what I said 2, 3 quarters. And what is happening now, usually in the first calendar quarter, many service providers are setting their budgets for the calendar year, and they are starting to send smoke signals and engage with us some conversations and the momentum of these conversations, I would say, is a positive one. And they've now taken down some of their OpEx spend reductions, they've reduced their CapEx and now they're getting back to business as usual.

好吧，所以我的意思是，如果您認為我們第一季度的影響是 9 月季度，因為我們剛剛關閉。在 12 月季度，我們的客戶進行了很多重新平衡，著眼於裁員、資本支出成本（如運營支出重新分配）。我想說我們現在正進入第三季度。所以這與我在 2、3 個季度所說的非常相似。現在正在發生的事情，通常是在第一個日曆季度，許多服務提供商正在製定日曆年的預算，他們開始發出煙霧信號並與我們進行一些對話以及這些對話的勢頭，我想說，是積極的。他們現在已經取消了一些 OpEx 支出削減，他們已經減少了資本支出，現在他們正在恢復正常業務。

And when you're spending less money, generally, you want to get the most of what you already have. So you invest in optimization of your network. And since a lot of equipment has been delivered in September, December quarter, now all that equipment needs to be put into production, so to say, and you need equipment to install it, turn it up and release it into operations, which also requires you to start buying new instrumentation and software to deploy your network.

當你花更少的錢時，一般來說，你會想要充分利用你已經擁有的東西。因此，您投資於優化您的網絡。而且由於很多設備已經在 9 月、12 月季度交付，現在所有這些設備都需要投入生產，也就是說，你需要設備來安裝它、啟動它並投入運營，這也需要您開始購買新的儀器和軟件來部署您的網絡。

So that's why I'm saying that this quarter, we have seen things really stabilized and the discussions are now no longer how much can I push out the orders, but let's discuss the timelines and deliveries and what I will be requiring during this calendar year. So the tone is very different from what I would say we saw at the end of September and a bit of a panic in the early October.

所以這就是為什麼我說這個季度，我們看到事情真的穩定了，現在討論的不再是我能推出多少訂單，而是讓我們討論時間表和交付以及我在這個日曆年中需要什麼.因此，基調與我所說的我們在 9 月底看到的以及 10 月初的恐慌情緒截然不同。

Okay. Thanks for that detail. And I guess just a quick follow-up then. When you talked about field instruments picking up mid 2023 is a combination of what you just talked about, plus sort of the view that the cable guys start to pick up as well. So that should help us.

好的。感謝您提供的詳細信息。然後我想只是快速跟進。當你談到現場儀器在 2023 年年中回升時，結合了你剛才談到的內容，以及有線電視人員也開始回升的觀點。所以這應該對我們有幫助。

Well, and that's a big deal because in the past -- yes in the past 2 years, cable -- most of the DOCSIS 3.0 was already done about 3 years ago, 4 years ago. So it's been -- cable was kind of running at de minimis. So the mere fact there is going to be this -- and it's not one, it's actually several major cable companies are looking to do an upgrade where they bring up -- they're still going to give you 1 gigabit on the line, but they're trying to make it more metric up and down. And that requires an upgrade.

好吧，這很重要，因為在過去——是的，在過去的 2 年裡，電纜——大部分 DOCSIS 3.0 已經在大約 3 年前、4 年前完成。所以它一直 - 電纜有點像最低限度地運行。因此，事實就是這樣——這不是一個，實際上幾家主要的有線電視公司正在尋求升級他們提出的地方——他們仍然會給你 1 千兆的線路，但是他們正試圖使它上下更具指標性。這需要升級。

And it looks like they're moving forward during this calendar year and the expectations of the DOCSIS 4.0 probably will be 2 years from now because the chipsets have not been developed yet. And so -- and in many ways, it's a response to the aggressive fiber deployment that's happening out there. So in a way, it's part of the response to the competitive pressure from the fiber operators.

看起來他們在這個日曆年中正在向前發展，DOCSIS 4.0 的預期可能會在 2 年後出現，因為芯片組尚未開發。所以——在很多方面，這是對那裡正在發生的激進光纖部署的回應。所以在某種程度上，這是對來自光纖運營商的競爭壓力的回應的一部分。

I will now hand the conference back over for any closing remarks.

我現在將把會議交還給任何閉幕詞。

Thank you, Regina. This concludes our earnings call for today. Thank you, everyone.

謝謝你，里賈納。我們今天的財報電話會議到此結束。謝謝大家。

Thank you all for joining today's meeting. You may now disconnect.

感謝大家參加今天的會議。您現在可以斷開連接。